|
NOTE 3 -LOANS RECEIVABLE
<br /> As of June 3 0,2007, loans receivable consist of the following:
<br /> Wyndham Place First Time Homebuyer Loan Program $ 660,186
<br /> City Centre Plaza Loans 1,700,000
<br /> First Time Homebuyer Silent Loan Program 1,235,454
<br /> Loans with Non-profits and For Profit Organizations 1,150,000
<br /> Housing Rehabilitation Loans 2,455,556
<br /> City Attorney Housing Assistance Loan 171,581
<br /> Shores Childcare Loan 2,642,272
<br /> Parking Fund Loan 1,300,000
<br /> First Community Housing Loan 2,627,000
<br /> PAL Loan 700,000
<br /> Kainos Home and Training Center Loan 57,500
<br /> St. Claire Apartments Loan 36,390
<br /> Total $14,735,939
<br /> A. Wyndham Place Flrst Tlme Homebuyer Loan Program
<br /> The City established a First Time Homebuyer Program during fiscal year 1995 on a specific development
<br /> sponsored by the Redevelopment Agency called Wyndham Place. The program currently involves the
<br /> resale of Wyndham units where the City has First Right of Refusal. The City or Agency exercises its First
<br /> Right of Refusal and markets to solicit qualified buyers.
<br /> A portion of the City and Agency's Shared Appreciation is used to assist the new buyer in the Resale
<br /> Program. While the initial program in 1995 made 0% interest loans, current buyers in the Resale Program
<br /> are assisted according to the needs of the Borrower. Depending on the Borrower's ability to secure private
<br /> financing for a first mortgage, the City and Agency loan is underwritten based on the Borrower's
<br /> spendable income.
<br /> These loans bear no interest and are secured by second deeds of trust on the property, and typically, no
<br /> payments are due until five years after the date of purchase. As of June 3 0, 2007 the Agency has
<br /> outstanding loans of$278,282 to nine Wyndham Place buyers, while the City has loaned $381,904 from
<br /> the HOME Investment Partnership Block Grant, Community Development Block Grant (CDBG), and
<br /> Rental Rehabilitation Program (RRP) funds to seven Wyndham Place homebuyers. Since these loans are
<br /> not currently available for expenditure, fund balance has been reserved in this amount.
<br /> B. City Centre Pla�a Loa�ns
<br /> The Redevelopment Agency sold several parcels of land to the developers of the City Centre Plaza project
<br /> (a residential and commercial development) for $1,700,000 in 1996. The developers constructed City
<br /> Center Plaza, which contains 81 affordable housing units, a childcare facility, residential and commercial
<br /> parking, and 17,900 square feet of retail space. The promissory note from Mezes Court Associate in the
<br /> amount of $1,445,000 is to be repaid through 2028 from surplus revenues generated by the housing
<br /> project and accrued interest at 3%. The promissory note from J.H.R. Trust in the amount of$255,000 is
<br /> also due to begin making payments beginning in 2011 and continuing until 2028 and accrues interest at
<br /> 3% as well. The outstanding balance at June 30, 2007 was $1,700,000.
<br /> 39
<br />
|